Posted by: Naif Sheshah | December 5, 2011

IT Saudi Market Analyses

Saudi Arabia is a country with an area of 2.4 million km2 and a population of around 23.4 million (2005); GDP per capita is estimated to reach13600 US$/capita (Communications and Information Technology Commission, Saudi Arabia, 2005).In the last few years, there were significant progress Information and Communications Technology Staring form 2000- 2004 there was remarkable growth in all fileds.

  • Saudi Arabia; most notably mobile subscribers with cumulative annual
  • growth rate (CAGR) of 58.6% (more than twice the world CAGR of 23.4%), with subscribers approaching 12 million.
  • October 2005 (over 50% penetrations). Internet users grew by over 430% in four years.
  • Personal computers (PC) penetration has also grown 40% annually
  • Global E-Government Readiness Report has moved up Saudi Arabia ranking from 105 in 2003 to 90 in 2004,a jump by 15 places in just one year.

Moreover, the Saudi government is moving toward improving the tourism scoters and export intentional investment. This blog will analyses the Saudi market in term of technologies covering both my personal perspective , fact and Statistics  form the real word in  order to guan better understanding about how we can apply e-business or social medial projects  in the kingdom of Saudi Arabic.

Investment in Saudi Arabia: Saudi Arabic is the largest market in   Arabian Gulf region and one of beigest market in the world. Currently the Saudi government offers many opportunities in a wide variety of business sectors in order to reduce the dependence on oil, and the need to provide jobs, housing, and services to citizens in a time of rapid population growth. In 2000 the foreign investment law have been change allowing 100% ownership of project.  Also the Kingdom of Saudi Arabia is moving towered focusing in development of a tourism sector, education and training of Saudi workers.

Funding :As you can see above Saudi government aiming to have modern Saudi Arabic so everyone can be a part of the development. In few years, Saudi Arabic will have a lot of project such as king Abdul economic city. This kind of project will provide a great deal of job opportunities. Moreover, the numbers of truisms will increase for different purpose. As a result, having social network with high quality is essential.

Business opportunities on the Internet :Saudi Arabia is the world’s fastest growing Internet markets. The number of Internet users jumped from 200,000 users in 2000 to 4,800,000 users in 2006, which means that approximately 20% of the UK population using the Internet, but it is likely that number was increasing steadily year after year. Internet service was officially made available in the Kingdom of Saudi Arabia in 1997. Internet is becoming an integral part of Saudi social and Economic.

Funding : After several searches about services website I found that there is No fully directory website in Saudi Arabic. Moreover I found that a lot of people are using forms to exchange information. Another important fact that there is No official website that help truisms to shear experiences with local peoples

Organization Computer and Internet: All businesses in Kingdom are yet to be computerized. About 25% of the organizations contacted do not use computer in their office. These were mainly from food sector. The perceived ‘ no application of computers in the regular course of business’ is the major barrier among non users. Computer and internet usages are directly relate to the size of the business organizations, while the large organizations in the Kingdom have the required infrastructure. Websites are relatively less popular as only 4 out of 10 organizations with internet connection have their own website.

Funding: As you can see a lot of business do not have web pages and we will be one of the first websites how offer this services .For example the biggest series of pharmacies called Alnhady do not have website.

Saudi Business Tips: Inter Science state that” The Saudi culture is influenced by two dimensions: Islam and the Bedouin tradition. Foreign executives doing business in Saudi Arabia must be prepared to conduct thorough preliminary research, visit the kingdom regularly, show genuine concern for Saudi development goals and culture, be patient in business negotiations, and adapt carefully to the Saudi environment.”

Finally , any e- business project will be supported with National ICT Plan It long term plan that aim to transform Saudi Arabic to information society which shows that Saudi government  has clear guidelines and strategies to develop the IT field.




  1. Dear naif ,
    This a really intrresting article. I think its really deep and manfull for us to take in mind that Saudi has big putentull .
    I wish you all the best in your carrer and life.

    Aiman aj

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